Panepinto looks to just transition funding in wake of Huntley announcement

Submitted

Tue, Aug 25th 2015 03:55 pm

Panepinto:
"This crucial batch of state funding is critical to preventing further economic
loss to the community."

State Sen. Marc Panepinto expressed concern in the wake
of NRG Energy's announcement Tuesday that it will shutter the Huntley Station
power plant early next year. Located in the Town of Tonawanda, the plant
employs 79 and provides millions in PILOT payments to the Kenmore-Tonawanda
School District, Town of Tonawanda and Erie County. Under the current PILOT
agreement, the entities stand to lose an estimated $6.1 million in revenue.

Following NRG's announcement, Panepinto is calling
on his partners in local government in education to take advantage of just transition
funding he helped secure at the close of the legislative session. The funding,
secured through an application, assists municipalities when coal plants retire.

Panepinto, who helped to secure and deliver $19
million in just transition funding, issued the following statement:

"While I am encouraged by the environmental impact
of today's announcement, I am deeply distressed by the ripple effects this will
have in our community," he said. "The devastating loss of 79 jobs, coupled with
millions in annual PILOT payments, will mean a critical hit to the local tax
base. In the short-term, $19 million in just transition funding that I secured
will help to ensure financial stability. This crucial batch of state funding is
critical to preventing further economic loss to the community. Moving forward,
I will continue to work with the town and region to fully fund education and
those services vital to our residents."

More than $19 million in just transition funding
secured by Panepinto as part of a state delegation would accomplish the
following:

•Provide $19,000,000 for a municipality or a school
district to assist with sudden changes to the tax base upon closure of a fossil
fuel electric generating facility; and

•Provide assistance to any municipality and/or school
district faced with a reduction in tax collections and receipts from PILOTS
totaling at least 20 percent; or any judicial determination concerning the
facility that has caused a reduction in the tax collections and PILOTS of at
least 20 percent.